Unit 1: Fundamentals of Cost and Management Accounting LH 3 Concept, Meaning and branches of accounting, Limitations of financial accounting, Meaning of Cost accounting and management accounting, Objectives of Cost and management Accounting, Difference between cost and management accounting, Limitations of cost and management accounting.
Unit 2: Cost concept, Classification & Estimation LH 6 Meaning of cost and costing, Meaning of Menu costing, Meaning of Accommodations costing, Classification of costs, Segregation and Estimation: High Low Method, Least square method, Flexible Budget.
Unit 3: Cost Volume Profit Analysis LH 6
Introduction and important of cost volume profit analysis, Assumption of cost volume profit analysis, Contribution margin analysis, Break even analysis: Formula approach, Graphical approach..
Unit 4: Income Recognition LH 5
Absorption costing method, Ariable costing method.
Unit 5: Price Determination in the Hospitality Industry LH 4 Methods of pricing: Cost plus pricing method, Gross profit or gross margin method, Pricing hotel accommodation, Pricing food and beverage.
Unit 6: Budgeting for Planning and Control LH 6 Planning and budgeting, Purpose and functions of budgeting, Sales revenue budget, Production budget. Operating expenses budget, Cash budget.
Unit 7: Capital Investments decision LH 8
Concept, Cash flow and profit and loss account, Steps of capital investment Decision: a. Cash flow Estimation, Net cash outlay (NCO), Cash flows after tax (CFAT), b) Evaluation (Different Methods).
Unit 8: Decision regarding alternative choices in the Hospitality Industry LH 10 Concept of Decision Making, Opportunity cost, sunk cost, Relevant cost and Irrelevant cost, Make or buy decision, Drop or continue decision, Accept or reject order decision, Decision for continue or closure in off season, Leasing Vs Purchase decision.